Maruto Sangyo Co Ltd

Maruto Sangyo Co Ltd maintains a conservative capital structure with a debt-to-equity ratio of 0.43, below the industry median of 0.65, indicating a relatively low reliance on debt financing. The company holds 3.5 billion JPY in cash and equivalents, but this is offset by 3.94 billion JPY in long-term debt, resulting in a net cash position of -441 million JPY. The current ratio of 1.62 suggests adequate short-term liquidity to cover obligations, though it is slightly below the industry median of 1.80.

Profitability metrics show a return on equity of 1.11% and a return on assets of 0.55%, both below the industry median of 2.3% and 1.2%, respectively. The company's operating margin of 0.92% is significantly lower than the industry median of 3.1%, indicating underperformance in cost control and pricing power. Gross margin of 14.94% is also below the median of 18.5%, further highlighting operational inefficiencies.

The company's revenue is concentrated in Japan, with no disclosed international operations, and its business is primarily driven by the food and beverage packaging segment. No material geographic diversification is reported, and the company does not disclose revenue by product line or customer concentration.

Looking ahead, the company is projected to see a 12.3% year-over-year revenue increase in the current fiscal year, with a 7.8% growth expected in the following year. This growth is supported by a 5.4% increase in revenue over the past 12 months. However, the company's operating income has declined by 18.2% year-over-year, raising concerns about margin compression.

Risk factors include a medium liquidity risk due to the net cash deficit and a current ratio below the industry median. The company has a low dilution risk, with no recent share issuance or shelf registration activity reported. No material regulatory or geopolitical risks are currently impacting the company's operations.

Recent events include the release of Q3 financial results, which showed a 12.3% increase in revenue to 18.78 billion JPY, but a 18.2% decline in operating income to 39.55 million JPY. The company has not issued any new guidance or strategic announcements in the past quarter.

Net income surged 115.7% year-over-year to JPY 638.9 million in FY2026, signaling a strong earnings recovery.

Free cash flow turned positive, jumping 112.9% to JPY 865.4 million, improving liquidity and financial flexibility.

Revenue grew 4.0% to JPY 18.8 billion in FY2026, demonstrating consistent top-line expansion over the period.

Operating income increased 41.9% to JPY 435.8 million, indicating improved operational efficiency and cost management.

Long-term debt decreased to JPY 2.7 billion in FY2026, reducing leverage and strengthening the balance sheet position.

The company faces high credit risk, which could lead to financing difficulties or higher borrowing costs.

Net margin of 2.36% remains below the 2.87% cohort median, reflecting persistent profitability challenges relative to peers.

Medium liquidity risk suggests potential difficulties in meeting short-term obligations without external financing.

Revenue ¥4.84B, −0,5% YoY; Operating income −13,2% YoY.

• ▍Revenue ¥4.84B, −0,5% YoY
• ▍Operating income −13,2% YoY
• ▍Net income +247,4% YoY
• ▍Net margin 6.5%

Revenue ¥4.71B, +5,6% YoY; Operating income +17,3% YoY.

• ▍Revenue ¥4.71B, +5,6% YoY
• ▍Operating income +17,3% YoY
• ▍Net income +92,5% YoY
• ▍Net margin 2.0%

Revenue ¥4.69B, +5,6% YoY; Operating income +102,4% YoY.

• ▍Revenue ¥4.69B, +5,6% YoY
• ▍Operating income +102,4% YoY
• ▍Net income +89,0% YoY
• ▍Net margin 2.2%

Revenue ¥4.54B, +5,9% YoY; Operating income +168,2% YoY.

• ▍Revenue ¥4.54B, +5,9% YoY
• ▍Operating income +168,2% YoY
• ▍Net income +23,0% YoY
• ▍Net margin 2.7%

Revenue ¥4.87B; Operating income ¥122.2M.

• ▍Revenue ¥4.87B
• ▍Operating income ¥122.2M
• ▍Net margin 1.9%

Revenue ¥4.46B; Operating income ¥83.0M.

• ▍Revenue ¥4.46B
• ▍Operating income ¥83.0M
• ▍Net margin 1.1%

Revenue ¥4.44B; Operating income ¥62.4M.

• ▍Revenue ¥4.44B
• ▍Operating income ¥62.4M
• ▍Net margin 1.2%

Revenue ¥4.28B; Operating income ¥39.5M.

• ▍Revenue ¥4.28B
• ▍Operating income ¥39.5M
• ▍Net margin 2.4%

Revenue ¥18.78B, +4,0% YoY; Operating income +41,9% YoY.

• ▍Revenue ¥18.78B, +4,0% YoY
• ▍Operating income +41,9% YoY
• ▍Net income +115,7% YoY
• ▍Free cash flow +112,9% YoY
• ▍Net margin 3.4%

Revenue ¥18.05B, +1,1% YoY; Operating income −26,7% YoY.

• ▍Revenue ¥18.05B, +1,1% YoY
• ▍Operating income −26,7% YoY
• ▍Net income −19,3% YoY
• ▍Free cash flow +181,9% YoY
• ▍Net margin 1.6%

Revenue ¥17.85B, −1,6% YoY; Operating income −12,8% YoY.

• ▍Revenue ¥17.85B, −1,6% YoY
• ▍Operating income −12,8% YoY
• ▍Net income −12,0% YoY
• ▍Free cash flow +57,0% YoY
• ▍Net margin 2.1%

Revenue ¥18.14B, +8,2% YoY; Operating income −35,9% YoY.

• ▍Revenue ¥18.14B, +8,2% YoY
• ▍Operating income −35,9% YoY
• ▍Net income −29,9% YoY
• ▍Free cash flow −1 078,9% YoY
• ▍Net margin 2.3%